KCB FIRES EMPLOYEES FOR HACKING BANK ACCOUNTS

The KCB Group has terminated the employment of 34 employees across its regional operations as part of a crackdown on fraud and misconduct. In its 2023 Sustainability Report, released in August, KCB stated that it made the decision in line with its zero-tolerance policy toward criminal behavior.
“KCB enforces a strict zero-tolerance policy on tax evasion, fraud, and facilitation of unlawful conduct. This applies to all employees, agents, and third parties operating on behalf of the Group,” the bank said in the report.
25 out of the 34 employees fired were implicated in criminal activities in Kenya, with the remaining nine in Rwanda.
The move comes as KCB and other banks grapple with a sharp rise in cybercrime and financial fraud, especially in the mobile banking sector.
KCB reported that it blocked 339 fraud attempts last year, safeguarding Ksh212.9 million in customer funds, up from 249 attempts in 2023.
The bank has now rolled out a new mobile banking platform powered by artificial intelligence and machine learning in a bid to outpace the fraudsters.
“The planned implementation of a new mobile banking platform, leveraging AI and machine learning models, aims to enhance customer security and combat fraudulent activities,” KCB said.
The numbers revealed the scale of the threat, with CBK reporting total sector-wide losses of Ksh1.59 billion due to cybercrime and fraudulent wire transfers in 2024, nearly four times the Ksh412 million lost the previous year.
Despite increased efforts to end fraud, including a steady rise in frustrated attempts from Ksh137.5 million in 2022 to Ksh362.7 million in 2023, financial institutions remain in the crosshairs of increasingly sophisticated schemes.